STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
URBIN
1. SERVICE
URBIN is a market hub in Chicago that promotes sustainable development. We encourage Chicago’s residents and restaurant industry to indulge in our vast selection of locally grown, organic produce.
CREATING
MAINTAINING
DISPOSING
2. SITUATION ANALYSIS TRENDS
James W. Jardine Water Purification Plant
USER TYPES
COMPETITION
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
VALUE STATEMENT
3. ECO-IMPACT FOOD
WATER
ENERGY
4. STRATEGIES PROMOTION 5. BEST PRACTICES LAKE MICHIGAN
OVERVIEW
N
LEED
SMS
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FUNCTIONALITY URBIN will create organic produce and rare, exotic herbs and spices to support cooking within the local restaurant industry as well as cooking within residents home. The technology that exists within the urban farm, could be supported and studied by local universities that are focused within the sustainable initiative. The internal workings of the structure will be in line with LEED Neighborhood Development. This will involve private developers who are interested in investing in an idea that will propel this forward thinking movement. This structure will exist near the James W. Jardine Water Purification Plant. Jardine purifies an average of 660 million gallons per day from Lake Michigan per day making it the largest water treatment plant in the world. Because of the importance of efficiently running such a massive water treatment plant, there has always been a trend toward automation within the plant. URBIN will leverage this competency of Jardine within its core water system. This entire initiative will allow for people to receive fresh organic, local food all year round. The food will be harvested and released into bins at the bottom of the building.
SERVICE
Maintaining URBIN will continue to welcome consumers to shop both retail and wholesale straight from the bins of produce. When the produce is predicted to lower, the employees tend the multiple stories of mini hydroponic farms which involve water irrigation for growth. By having such controlled environments we are able to preserve crop biodiversity. When the structure requires energy to carry it forward, the solar panels on the exterior of the building kick in. By utilizing this energy we are able to use readily available energy to run our system. Knowing that such a farming system exists, enhances life for residents by improved diets and while reducing strain of resources caused by a constantly growing population
Disposing URBIN will have two main goals centered around disposing or the lack of disposing, reusing. The first is composting their plant wastes and organic garbage. URBIN will partner with the city in order to transport the organic waste, possibly via bicycle. In addition to this URBIN will sell empty containers to consumers with intentions to encourage customers to bring their own containers. The containers within the store would be reusable or biodegradeable.
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
Creating
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FUNCTIONALITY Creating •
Seeks to put back in balance an ecological and social system
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Promotes sustainable development within an eco-efficient urban farm
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Creates produce, which is then harvested and collected
Maintaining •
Welcomes consumers to shop both retail and wholesale
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Houses multiple stories of mini hydroponic farms Involves water irrigation for growth, hydroponics
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Preserves crop biodiversity
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Has solar panels along the exterior of the building
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Distributes into bins on the lower level
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Enhances life for inhabitants through improved diets and reduces strain of resources caused by a constantly growing population
Disposing •
Influences consumers to bring their own bins and containers to put your food into
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Offers alternate packaging like rice paper bags for an additional charge
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Encourages consumers to bring in organic waste for composting
SERVICE
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
jarred by the negative affects of globalization
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FUNCTIONALITY
MAINTAINING
DISPOSING
• Rainwater catchment system • Reverse Osmosis • No shipping
• Compost center • Container fee
• Adaptive reuse building • Close to water source
• • • •
• BYO bag • BYO organic garbage
Sales Marketing
• Developers will create buildings that accommodate this technology
• Restaurants will be the primary • City will support logistics for consumers of produce compost/reuse
Talent
• Crop selection • Investment • LEED knowledge
• Crop survival • Exclusive network
• Crop/food compost • Container reuse
Network
• • • •
• Restaurants • Residents • Educational
• City • Residents • Restaurants
Key Functions Eco-Features
Building Blocks for URBIN
CREATING
Key Brand Eco-Actions
• Local grown organic food • LEED building
Farmers Bio-scientist Educational City
SERVICE
Educational tours Cooking classes Rare produce Market baskets
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
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There are many trends that have been taking place that affect food quality and food supply. Currently we are experiencing a rise in global population. In addition to this as the population grows people are moving towards the city to be closer to convenience and work. By 2050 over 80% of the worlds population will live in urban areas.
With all of these trends contributing to the need to reconsider food creation and distribution. We also need to consider the current trend of energy use. Agriculture has been readily avaiblable in the past because of the limitless use of fossil fuels. We know that eventually the fossil fuels will run low. In that situation we would need an alternative source of energy.
As the population grows so does the demand for produce. Farmers will be unable to keep with the demand. Not only do the farmers have a difficult time in keeping up with the demand, but there is also less land that is beneficial for farming. Many areas around the world have become wasted land which is no longer used for farming. With more of demand for food and less food being supplied, food prices will go up. This increase in food will affect the lower base of the economic pyramid first, and we will see things like food riots and clashes of civilizations. While farmers continue to attempt to harvest their fields, we will see a depletion in ground water. Right now about a third of the worlds usable ground water is being used for agriculture. In addition to this people will continue to use water without understanding the limit of this resource.
SITUATION ANALYSIS
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
TRENDS
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TRENDS
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Growth since 1950 exceeds that during the preceding 4 million years
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Economic growth has expanded sixfold since 1950
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Demands are exceeding the planet’s natural capacities to provide food and water
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In 2050, nearly 80% of the earth’s population will reside in urban centers
Implications •
Excessive demand can be seen in shrinking forests, expanding deserts, rising atmospheric CO 2 levels, eroding soils, melting glaciers, deteriorating grasslands, rising seas, and rivers that are running dry
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Decreases in these natural resources and their predictability will create clashes of civilizations
SITUATION ANALYSIS
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
Population
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TRENDS • Falling water tables and rising temperatures affect food security making it difficult for farmers to feed the 76 million people added to our population each year • 270 acres of new land will be needed to harvest enough food if traditional farming practices continue as they are • Currently over 80% of the land that is suitable for raising crops is in use • About 15% of that has been determined waste land because of poor practices • Risks plant species extinction • Chances of widespread famine as climates change • New species of pest or pathogen develop that can wipe out industrialized crop fields
Implications •
Increases in the need for food has increased the price of food
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Every 1% increase in demand of food, the price at the farm gate increases 4.5%
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With reduction in food consumption, food prices are still expected to increase 3 to 5 fold
SITUATION ANALYSIS
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
Food
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TRENDS •
Cannot separate population policy from the supply of water
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Need to eliminate the water subsidies that foster inefficiency
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Raising prices of water to reflect its cost
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Shifts to more water-efficient technologies, more water-efficient crops
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Groundwater that provides 31% of the water used in agriculture is being depleted up to 160% faster than its recharge rate
Implications •
Irrigation will decrease as our ground water resources continue to be mined and the water resources have to be divided between people
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If water management is substantially improved, the projected 520 million Americans in 2050 would have about 700 gallons/day/ capita, considered the minimum for all human needs, including agriculture
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Shifts in technology will move faster if the price of water more closely reflects its value
SITUATION ANALYSIS
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
Water
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TRENDS •
Availability of non-renewable fossil energy explains in part the historically high productivity of agriculture
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Currently the 400 gallons of oil equivalents expended to feed each American amount to about 17% of all energy used in this country each year
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Imports now account for 58% of oil used in the U.S.
Implications •
Current use levels, only 15 to 20 years of oil resources remain in the U.S.
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International reserves are expected to be exhausted within the next 30 to 50 years
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Solar energy systems will be able to provide only one-quarter of the current per capita energy consumption
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Requires a drastic decrease in energy use and no doubt will adversely affect the U.S. standard of living, including food availability
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Meeting energy needs based on solar energy will cause major competition between land needed for energy production and all other land necessities
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Given the need for food, agriculture will remain a high priority in the use of the remaining fossil energy
SITUATION ANALYSIS
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
Energy
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USER TYPES
1901 North Halsted Street, Chicago, Illinois 60614 • Commits to using only whole fresh foods (organic) whenever possible
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Creates fresh delicious and high quality meals that are high in fiber and low in fat
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Has a variety of vegan hot dishes Serves a wide selection of gourmet living foods
Local Residents Health Conscious Mom
864 W Aldine Street, Chicago, Illinois 60657 • Makes dinner every night • Substitutes grandma’s recipes with organic food • Creates appropriate portions for her family’s meals • Supports community efforts • Commutes to work downtown on CTA
Educational Institutions Stuart School of Business EM
565 West Adams Street, Chicago, IL 60661
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Understands how corporate governance changes in response to environmental constraints
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Applies the new concepts of “industrial ecology,” and the energyenvironment-economics (E3) paradigm
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Evaluates competing technical, economic, legal, and regulatory interests
SITUATION ANALYSIS
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
Restaurant Industry Karyn’s Raw
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all of the these areas in the best interest to URBIN, thes schools will be able to carry out one of the most essential contributions which is evaluating the entire process in multiple ways considering thins such as technical, economic, legal and regulatory interests.
There are various restaurants around Chicago that commit to using only fresh organic foods. These restaurants can also use the rare and exotic ingredients in their dishes.
With all of these user types URBIN will be able to thrive in Chicago while serving multiple functions to various groups and individuals.
There are many different types of people that will be affected by the growing trends in population, food, water and energy. The local residents of Chicago, along with those that rely on the livelihood that Chicago has to offer, would be the type of people to patron URBIN.
Local residents are also a viable market for URBIN. There are types of people that live within the Chicago area who make dinner every night. These people like to stick to their family pastime meals while substituting ingrdients for organic instead. These families within Chicago are active in their community and utilize Chicago’s infrastructures such as the Chicago Trasportation Authority. In addition to those that would patron URBIN there would be those people that research and develop the technology within URBIN. There are many educational institutions within and around Chicago, that would be interested in studying the progress and of corporate governance in responses to environmental constraint. These institutions are constantly studying and applying new concepts of “industrial ecology.” While considering
SITUATION ANALYSIS
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
USER TYPES
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Sustainable Farms
Agricultural Farms
FOOD
WATER
ENERGY
MISC
Alters crops (GMOs) to be marketed
Plans to penetrate the Indian market for safe water by establishing a joint venture with Eureka Forbes / TATA
Implements a hydrogenrecovery project to reduce natural gas costs and better conserve and utilize hydrogen, a by-product of the manufacturing process
Has set up four grain silos in the Amazon, for the export of soy from Brazil
Discharges contaminated process water to Chattanooga Creek, TN
Operates coal-fired plants at Contributes to political parties its company base in Decawith millions of dollars in handtur, Illinois outs, has reaped billion-dollar windfalls from taxpayers and consumers
Leaves behind two tons of banana, for every ton of bananas
Reduces total water use by 20% through the Better Banana Project, program monitored by the Rainforest Alliance has
Continues to receive pressure on margins from rising industry costs, particularly from fuel
Has given $20,000 so far to Friends of the Birds, as well as weekly free bananas to feed their birds
Grows fruits, vegetables, grains, and even fish, poultry, and pigs. Enough to feed 50,000 people annually
Prevents rain from beading; the rain slides down the glass, maximizes light and cleans the pollutants, roughs collect runoff for filtration
Processes waste from New York’s 18,000 restaurants
Costs $200M to build today in a land is already in short supply, such as Japan, Iceland, or more likely Dubai
Grows a balanced diet for 35,000 residents year round
Controls growing environments and use of hydroponics
Uses green building systems, self-sustains and even produces a net output of clean water and energy
Receives $23,000,000 (approx.) total revenue/year
Uses beneficial insects in place of pesticides
Does not discharge water, every drop is consumed in the greenhouse
Makes biofuels from agricultural and food industry by-products
Tours New York City’s public waterfront parks, offering sustainability education programs to wide audiences.
SITUATION ANALYSIS
Brings much-needed high-yield seeds to market
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
COMPETITION
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WATER
• Produces a year-round crop; 1 indoor acre is equivalent to 4-6 outdoor acres
• Eliminates agricultural runoff by recycling black water
• Chooses crops that grow densely like strawberries: 1 indoor acre is equivalent to 30 outdoor acres
• Converts black and gray water into potable water
• Prevents weather-related crop failures due to droughts, floods, pests • Grows organic food: no herbicides, pesticides, or fertilizers • Selects crop varieties with high yields per liter of transpired water • Breeding water-efficient crop varieties
ENERGY • Adds energy back to the grid via methane generation from composting non-edible parts of plants • Reduces fossil fuel use by not using tractors, plows, shipping
ECO-IMPACT
• Collects the water of evapotranspiration • Maximizes use of soil moisture by inter-cropping • Matches crops to climate conditions and the quality of water available • Sequences crops to maximize output under conditions of soil and water salinity
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
FOOD
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URBIN strives to become the primary sustainable food source for Chicago’s restaurant industry and local residents. The produce grown is always fresh, the process is always interesting. Creating •
Displays the farming techniques used on website
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Offers email/text updates when produce is being harvested
Maintaining •
Displays company values and sustainable plans on website
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Hosts family days, for people to see the behind the scenes process of renewable energy, reverse osmosis purification systems ect.
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Continues to create standards, and aligns with recognized standards
Disposing •
Incentivise customers to re-use containers
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Encourages customers to bring food wastes in for composting, which could be turned in for discount points
STRATEGIES
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
MARKETING STRATEGIES
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URBIN strives to be a leader within the urban-farm industry. To do this, they must strategically outline what they would like to accomplish. There are many standards and frameworks out there that URBIN could utilize to move forward as an industry leader. One of the first efforts that URBIN could establish within the sustainable movement, would be the Sustainable Management System (SMS). By adopting tool that has already been utilized in various business types around the world, URBIN will increase the chances of success.
urban sprawl, and encourages healthy living. Some of the benefits of LEED Neighborhood Development certification is that reduces the waiting time fore permitting and it also reflects well on the community.
In order to implement this they will need to create a policy and action plans. URBIN will then have someone look over their plans and confirm them or evaluate them. When they do decided to implement any sustainable initiatives they need to assign roles and responsibilities. This will ensure that things get done. After all the efforts for the year have taken place, there should be a review process, where people also receive recognition as incentives to do it all again. In addition to implementing the Sustainable Management System, URBIN will also try to obtain LEED Neighborhood Development status. This means that the efforts put towards the building are in line with the Center for Green Technology. This certification ensures that URBIN is integrating principals of smart growth, reduces
BEST PRACTICES
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
BEST PRACTICES
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SUSTAINABLE MANAGEMENT SYSTEM SMS •
Develop environmental policy with system conditions
WATER ENVIRONMENT
Planning actions •
Train all employees on the system conditions
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Establish indicators, metric, plans
Confirmation actions •
Monitor and measure indicators
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Conduct checks or audits to confirm success
Implementation actions •
Assign responsibilities
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Write description of what and who
Management actions • •
ENERGY Economic
Conduct a formal review annually Make changes to maintain effectiveness
BEST PRACTICES
FOOD Social
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
Policy
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The building which URBIN resides in will evolve out of an existing building with LEED Certification. If further funding persists, URBIN will be made from the ground up as a LEED Certified structure. •
Integrates the principals of smart growth, urbanism and green building
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Provides independent, third-party sustainable development
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Launches revised program 2009
Benefits of LEED National Development •
Reduces urban sprawl
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Encourages healthy living
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Protects threatened species and ecosystems
Benefits of LEED National Development for Developers •
Reduces fees or waiting periods possibly
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Creates a good impression on community
BEST PRACTICES
STUART SCHOOL OF BUSINESS : SUSTAINABLE ENT. SPRING : AMY BATCHU
LEED FOR NEIGHBORHOOD DEVELOPMENT
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